Hive Digital Technologies (NASDAQ: HIVE) has completed the acquisition of Bitfarms Ltd., a 200-megawatt Idro-powered facility in Paraguay. The move will increase the company’s mining capacity by September 2025 by 317% from 6 seconds per second (EH/s) to 25 EH/s.
One of Wall Street’s biggest Bitcoin (BTC) miners continues to expand despite this year’s BTC price adjustments. Cryptocurrency has fallen 25% from its all-time high in January, and is currently testing its lowest level in over four months.
The $56 million acquisition will strengthen Hive’s position in the sustainable blockchain infrastructure sector, expanding its global operational footprint to 430 MW by the third quarter of 2025.
Frank Holmes, Executive Chairman of Hive
“This acquisition marks our strategic focus on sustainable and high growth,” said Frank Holmes, executive chairman of Hive. “Expanding operations to 3% of our global network by September 2025 is a significant achievement, as we are fully equipped with green energy.”
The Iguazu facility will be developed in two phases, with phase 1 expected to be completed by April 1, with an additional hashrate of around 6 EH/s. Construction is already 80% complete. The second phase, which is expected to be completed by August 31, will contribute to an additional 6.5 EH/s using water-cooled ASICs to increase efficiency.
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Why is Bitcoin price dropping?
Despite the challenging times, the Hive is focusing on expanding due to the decline in Bitcoin prices and increasing difficulty in mining.
As of March 18, 2025, Bitcoin was trading at $82,500 per BTC, down 25% from two months ago. On Tuesday, prices fell 1.8%, hovering near the psychological support level of $80,000, hitting a four-month low.
In February, BTC fell by 18%, which had a negative impact on Hive’s production. Last month, miners extracted 89 BTC from 102 BTC the previous month. The company says it is currently redistributed resources to projects aimed at increasing hashrates
Bitmain S21+ Hydro Asics
Aydin Killick, President and CEO of Hive
Hive has secured an operational hashrate of 15 EH/s, including the existing 6.5 EH/s installed capacity and an 8.6 EH/S order for the Bitmain S21+ Hydro Asics announced last November. The company plans to announce additional ASIC acquisitions in the coming months to achieve its 25 EH/s target, with the goal of achieving an overall fleet efficiency of 16.5 Joules per Terahash.
“Our priority is to provide shareholder value while promoting sustainable local growth,” said Aydin Kilic, president and CEO of Hive. “This acquisition will allow us to quadruple our capabilities while maintaining one of the most energy-efficient operations in the industry.”
The transaction includes ownership of a 240 MVA substation with 200 mW capacity and associated land and facilities. Hive paid $25 million at the time of closure, with the remaining $31 million being paid in equivalent installments over six months. The company estimates the total net cost of completing the site to 200 MW at $400,000 per MW.
Hive is excited to announce it is closing its acquisition of Bitfarms’ 200 MW hydroelectric facility in Paraguay.
This strategic expansion will drive the hive to 25 EH/s, forecast from today’s 6 EH/s by September 2025, with a 317% increase in mining capacity. pic.twitter.com/udgdivndu
– Hive Digital Technologies (@hivedigitaltech) March 18, 2025
Paraguay’s new president of the nation
The expansion was announced a day ago that Hive has coincided with the appointment of Gabriel Lamas as president of the nation of Paraguay. A electrical engineer with over 20 years of expertise in infrastructure and energy projects, Lamas previously served as LATAM Director of Infrastructure and Operations at Bitfarms Ltd. and held a position at Ande, a state-owned utility for Paraguay.
“If we become the biggest private electricity consumer from the Ande, the Hive will play an important role in creating a steady stream of revenue denominated in US dollars for the government,” Holmes said regarding the appointment of Lamas.
Last month, Wall Street Bitcoin Miner hired Craig Tavares as president and chief operating officer of Buzz HPC division, focusing on GPU cloud and high performance computing (HPC) services.
Paraguay’s stable regulatory environment, low-cost hydropower and competitive operating costs make it an ideal location for Hive’s expansion strategies and positions the company as the dominant force of high-performance computing in Latin America.
